SteelMint’s daily sponge iron, CDRI, index was assessed at INR 32,200/tonne (t) (- INR 200) exw Rourkela on 4 June, 2022.
About 3,520 t of transactions in CDRI were recorded by SteelMint today as against 7,500 t on 3 June.
The index fell further on account of limited enquiries today as healthy trade volumes had been recorded yesterday. Lack of confidence and price clarity led to weaker buying sentiments leading to the market cooling down today.
Rationale –
This index has been derived based on transactions, offers, bids and indicative price data sets. Transactions are considered as T1 and given a weightage of 50% whereas other data sets are considered as T2 and given a weightage of the balance 50%.
- Transactions (T1) – Ten trades in the range of INR 31,700-32,500/t were recorded during the 11:30 am to 3:30 pm SteelMint trading window and considered for final price calculation as T1 inputs. The average of these transactions was INR 32,078/t which is given a 50% weightage in the final price calculation.
- Other Price Indicators – bids/offers/indicative (T2) – Nine offers reported in the trading window and considered as T2 inputs. The average price of these nine was INR 31,944/t and given a 50% weightage in the final price calculation.
The final price for sponge CDRI exw Rourkela was at INR 32,011/t, rounded to INR 32,000/t exw.
Click for detailed methodology
T1 – Trade, T2 – Offer/Bid/Indicative, *Normalized price as per methodology
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